A card reader can normally read either a magnetic stripe card or a smart card (also referred to as an integrated circuit card). There are some integrated card readers which can read both magnetic stripe and smart card, which are known as hybrid card readers. To read a magnetic stripe, the stripe must move relative to a magnetic read head; however, to read a smart card having conducting terminals, the card terminals must align, make contact, and remain in contact with terminals used for reading the smart card.
The present invention can be utilized with any type of card reader although it is most appropriate for an automatic card reader as opposed to a dip card reader.
Card readers are used in apparatus, such as an automated teller machine (ATM), where a user may insert a magnetic stripe card, a smart card, or a combined magnetic stripe and smart card to conduct a transaction.
One disadvantage of card readers is the increasing prevalence of attempted fraud associated with card readers, especially ATM card readers.
The entrance to a card reader is particularly vulnerable, for example, to the insertion of certain devices intended for the fraudulent capture of an authorized user's card or the information thereon. There exists at present several known methods by which a customer or user's card details can be obtained by fraud, for example, the introduction of Lebanese or Marseille Loops into the card reader. Also information can be obtained indirectly by the introduction of an Algerian V into the card reader or directly by the attachment of a skimming device at the entrance to the card reader.